Eben@CANSLIM ResearchCiti Research remains bullish on gold and on large-cap gold equities, arguing that miners such as Newmont (NEM) and Agnico Eagle (AEM) are still pricing gold roughly $500/oz below spot. In a sector update dated September 2, 2026, analyst Alex Hacking says spot free cash flow yields of about 6.5% at Barrick, 6% at Newmont and 4.5% at Agnico Eagle should let the equities outperform while prices are stable. Citi’s commodity team continues to expect gold to retake $5,000/oz by year-end 2027.
Key Takeaways
- Citi Research analyst Alex Hacking remains broadly positive on large-cap gold equities, naming Newmont (NEM) and Agnico Eagle (AEM) as preferred names in a September 2, 2026 sector update.
- Gold equities are discounting a gold price roughly $500/oz below spot, with Newmont offering a >6% free cash flow yield at spot prices, according to Citi.
- Spot FCF yields stand at about 6.5% for Barrick Mining (B), 6% for Newmont and 4.5% for Agnico Eagle, per Citi’s estimates.
- Citi’s global commodity team continues to forecast gold reclaiming $5,000/oz by year-end 2027, after a breakout above the 100-day moving average near $4,380/oz.
- Citi’s target prices are $125 for Newmont, $200 for Agnico Eagle and $45 for Barrick, all based on a long-term gold assumption of $3,500/oz.
What Citi’s Gold Sector Update Says
In a report titled “Sector Update: Citi Remains Bullish Gold; Equities Continue To Price Gold Prices Below Spot,” Citi Research analyst Alex Hacking argues that gold miners continue to trade at a discount to the metal they produce. The central claim is that gold equities are pricing a gold price approximately $500/oz below spot, which in Citi’s view leaves room for the shares to outperform during periods of stable prices.
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